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Wednesday, 13 February 2013

The laundry conundrum: To outsource or not?

Managers of accommodation establishments anywhere in the world have to make a decision on what to do about their laundry. Initially anyway, most will have a desire to keep it in-house so they know where it is and they feel they have control.

But against that is the reality of achieving the high standards guests expect these days and the financial demands involved. They include: providing the space for the laundry, hiring specialist staff to run it and purchasing and maintaining the equipment.

That will usually involve more than washing machines and dryers. In any hotel or motel of a reasonable standard, guests will not want to be climbing between wrinkled sheets and will judge the quality of their stay against their sleep experience. But ironing sheets by hand is usually out of the question, so the only solution is a specialist ironing machine. Add to all that the costs of electricity, gas and water.

Handling laundry in-house has advantages but it is not cheap. The conundrum of whether such expense is justified is an ongoing one in the industry, throughout the world.

New Zealand has its share of proponents on both sides. Many guest establishments choose to set up their own facility while others see the advantages of handing over the whole problem to specialist laundry companies, and there are several with an established record of providing good service.

A major player is Alsco New Zealand, a multinational company offering a wide range of services throughout New Zealand. Its origins in this country were in the New Zealand Towel Service (NZTS), founded in 1910 by George and Elizabeth Plowman. Alsco's stated aim is to lead the textile services industry through implementation of the latest technology, equipment and processes. "Our value to our customers goes beyond simply cleaning and delivering serviettes, tablecloths, towels, sheets and uniforms," says business development manager, Mark Spence. "Our service staff pride themselves on their ability to manage and control linen and uniform costs while upholding health, safety and the all-important image of your business."

He says there are significant other reasons why securing linen services from Alsco can work to a client's advantage: 1) "Economy and value: A convenient, economical rental programme will provide the benefits of clean, quality linens, kitchen wear and uniforms with no capital investment for your company. Our price includes the supply of linen and uniforms, as well as regular cleaning, repairs, pickup and delivery, and inventory management. 2) "Quality and flexibility: Alsco delivers quality linens and will design a programme to fit the size and scope of your operation. 3 )"Selection and service: White linen enhances the setting and décor of any restaurant but Alsco can also offer tablecloths and serviettes in a range of colours, to enhance any setting. Our service programmes ensure we meet your selection requirement and respond in a timely manner." Mr Spence says the company's s bottom line is: "Alsco will tailor an effective programme to suit your specific needs." Also prominent in the industry is Spotless Laundry Services, (previously known as Taylors in New Zealand), a preferred supplier to a number of leading accommodation providers. General manager Angus Grimwade, says generally speaking, it is more cost effective to outsource linen to an expert provider than it is to run an in-house facility. He points to his company's economies of scale. "Spotless processes more than 100,000 tonnes of laundry every year (Australasia wide) enabling it to deliver a very cost effective laundry service. A massive capital injection is required to set up an in-house laundry. Outsourcing enables capital to be freed up and used elsewhere." Outsourcing also facilitates a core business focus, serving accommodation customers, without the complexity of running a laundry," he said. "Outsourcing linen also provides a greater room vacancy rate, the client only paying for the linen that needs to be laundered. We ensure our linen laundering exceeds all New Zealand and Australian standards." Mr Grimwade says Spotless accommodation linen representatives visit business operations to better understand potential clients' requirements. This includes analysis of current linen programmes and learning more about what is working well and what is not. "After assessing a potential client's requirements, all aspects and needs are covered off including budget, ideal delivery schedule and all items required. Spotless looks closely at quality specifications as its linen quality covers the entire spectrum from backpacker hostel accommodation right through to the five-star hotel linen standards." This service is backed by a dedicated account manager who works with the client, acting as the single point of contact for any questions, Mr Grimwade said.

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